CNN
—
Nissan is suspending a push to construct new electrical automobiles at its Canton, Mississippi, manufacturing unit as gross sales of EVs are actually rising extra slowly than many trade specialists had anticipated.
EV gross sales within the US grew 2.6 % within the first quarter of 2024 in comparison with the identical interval in 2023, according to Kelley Blue Book. First quarter EV gross sales final yr had outpaced 2022’s by a shocking 46.4%.
Many within the trade had anticipated curiosity in EVs to speed up, not decelerate. However customers are involved in regards to the excessive costs of EVs and fearful about with the ability to cost them simply, according to the consumer survey company JD Power. These considerations have led to latest drops in buyer consideration of EVs.
At present, Nissan sells two EV fashions within the US, the Leaf compact hatchback and the Ariya SUV, however had introduced plans to construct 5 new EV fashions in Canton together with two initially scheduled for manufacturing in 2025. The brand new fashions had been set to incorporate each Nissan and Infiniti automobiles. Infiniti is Nissan’s luxurious model. Nissan is delaying plans to really start producing the automobiles in Mississippi.
“We’re adjusting the timeline for the introduction of those 5 new fashions to make sure we deliver the automobiles to the market on the proper time, prioritizing consistent with buyer demand and maximizing the chance for our manufacturers and provider companions,” Nissan mentioned in a press release emailed to CNN.
These newest delays had been beforehand reported by the trade newspaper Automotive Information.
Nissan nonetheless plans to supply a complete of 19 EV fashions globally by 2030, a spokesperson mentioned.
Nissan beforehand introduced it could make investments $500 million within the manufacturing unit to organize it construct the brand new electrical automobiles. The manufacturing unit in Canton presently employs roughly 5,000 staff and makes the Nissan Altima sedan Frontier, Titan, and Titan XD pickups.
Different automakers have additionally made strikes to gradual manufacturing of latest EVs and EV batteries citing considerations about slowing client adoption. Final yr, GM slowed down a planned ramp up in production of its Silverado EV pickup. Ford also reduced the planned size of a factory it’s constructing to make EV batteries.